University of Phoenix
Business Law
415
Boni Cherelle, J.D.
November 13, 2010
State of Confusion Paper The State of Confusion has enacted a bold statute that possibly could have a large impact on the states revenue stream. The statute enacted by the State of Confusion requires all trucks and towing trailers that use the highways to use a specific B-type truck hitch. The actions that must be taken by any trucker that wants to use the highway system of Confusion must stop at have the new hitch installed. The specific B-type truck hitch is also only manufactured by one manufacturer in Confusion. A limitation of the quantity produced could force many truckers to have to drive around the State of Confusion. Having many truck drivers detour around the state could produce a negative impact on the state by means of state taxes will not be collected on gas, tolls will not be paid, rest areas will not be utilized resulting is companies loosing revenue that occupy them. Is this State of Confusion statute a smart move for the state? One trucking company owner, Tanya Trucker owns a company that is located in the state of Denial. Ms. Trucker is not happy with the additional expenses that this statute will cost her business. Her intentions are to file suit against the state of Confusion to have this statute overturned. However, before this can happens Ms. Trucker must establish which state would have jurisdiction to rule on the case. In this case both parties reside in different states. Diversity of citizenship occurs if a case between (1) citizens of different states, (2) a citizen of a state and a citizen or subject of a foreign country, or (3) a citizen of a state and a foreign country, where the foreign country is the plaintiff. (Cheeseman 2010)
What court will have jurisdiction over Tanya’s suit? Why?
I would have to say based in the information in our reading that the state of Confusions
References: Cheeseman, Henry R. (2010). The Legal Environment of Business and Online Commerce: Business Ethics, E-Commerce, Regulatory, and International Issues, Sixth Edition. Published by Prentice Hall.